July 7, 1998

 To:Corporate Services Committee

 From:Commissioner of Corporate Services

 Subject:Expropriation of Property Interests Sheppard Subway Project - Service of Offers of Compensation Pursuant to Section 25 of the Expropriations Act - Various Owners

(Ward 10 North York Centre and Ward 12 - Seneca Heights)

 Purpose:

 To authorize the service of offers pursuant to Section 25 of the Expropriations Act on those properties detailed herein.

 Funding Sources, Financial Implications and Impact Statement:

 Financing has previously been approved by Council and is available in Capital Account No. TC-392.

 Recommendations:

 It is recommended that:

(1)the Commissioner of Corporate Services be authorized to make offers of compensation in compliance with the requirements of the Expropriations Act to the registered owners, and/or whomever may be entitled to be served, in the amount of the appraisal reports obtained by the Commissioner of Corporate Services, and that the appropriate City officials be authorized to make the payments in accordance with the accepted offers of compensation; and

 (2)the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

  Council Reference/Background/History:

 By the approval of Clause No.2 of Report No. 9 of the Management Committee (as amended) on March 8 and 9, 1994 Metropolitan Council approved the construction of the Sheppard Subway to Don Mills Road. By the approval of Clause No. 2 of Report No. 14 of the Management Committee (as amended) on April 20, 1994, Metropolitan Council authorized the debenture funding to commence the project. Metropolitan Council, by its adoption of Clause No. 2 of Report No. 21 of the Financial Priorities Committee on September 25 and 26, 1996 approved the completion of the Sheppard subway Project.

 Metropolitan Council, by its adoption of Clause No. 1 of Report No. 9 of the Corporate Administration Committee on May 8, 1996 approved the commencement of expropriation of property interests required in the vicinity of the Yonge station. By its adoption of Clause No. 5 of Report No. 15 of the Corporate Administration Committee on June 18, 1997, Council authorized the commencement of expropriation of property interests required in the vicinity of Bayview station. Council, by its adoption of Clause No. 46 of Report No. 23 of the Corporate Administration Committee on October 8, 1997, authorized the commencement of expropriation of property interests required in the vicinity of the Bessarion Station.

 Comments and/or Discussion and/or Justification:

 City Council, by its adoption of Clause No. 9 of Report No. 2 of the Corporate Services Committee on March 4, 5 and 6, 1998 approved the expropriation of portions of the following properties:

StationAddressOwner

 Yonge Station4726 Yonge StreetPremium Properties Limited

4783 Yonge Street Sun Life of Canada

4698 Yonge StreetYin Yuk Wong

4702 Yonge StreetFrancescina Battista

4706 Yonge StreetH. Song and S. Ah

4710 Yonge StreetM. And A. Piroli

4714 Yonge StreetA. Wilson

4718 Yonge StreetV. Ekeborm

4722 Yonge StreetShell Canada

 Bayview Station500 Sheppard Avenue EastMallpaks Development Limited

 Bessarion Station720 Sheppard Avenue EastPetro Canada

738 Sheppard Avenue EastRoslyn Sitzer and Geraldine Sitzer

  In accordance with the above City Council authority, the Notices required by the Expropriations Act have been served on the owners and other parties entitled to the service of these notices. These notices include a Notice of Expropriation, a Notice of Possession, and a Notice of Election.

 The Notice of Election is served on an owner pursuant to Section 10(2) of the act and provides the owner with a choice as to the date on which compensation is to be determined. The owner has thirty (30) days to elect a date. The date can be the date of Notice of Hearing before an Inquiry Officer, the date of the registration of the Plan of Expropriation, or the date on which Notice of Expropriation was served on the owner. In the event that the owner fails to make an election, the date for determining compensation is the date of the registration of the Plan of Expropriation.

 Section 25 of the Expropriations Act requires the expropriating authority to serve on the owner within three (3) months after the registration of a Plan of Expropriation an offer. The owner can elect to accept the offer of an amount in full compensation for the registered owner's interest or immediate payment of 100 per cent of the amount of the market value of the owner's land as estimated by the expropriating authority without prejudice. The offer must also be accompanied by a report appraising the market value of the land being taken and damages for injurious affection. In order for the appraisal report to be prepared, the effective date for determining value must be known.

 The Notices of Expropriation with respect to the above referenced properties were served on the owners on June 1, 1998 and the Notices of Election were due on July 1, 1998. Now that the date for determining value has been established for each of the properties listed above, the appraisal reports, which must be served with the Section 25 offer, can now be prepared.

 As there is insufficient time to have the appraisal reports completed for consideration by Council at its meeting on July 29, 1998 and the next scheduled Council meeting will be on October 1, 1998 and further that the Section 25 Offers must be served by September 1, 1998, it is appropriate to authorize the Commissioner of Corporate Services to obtain the required appraisal reports and to make all appropriate offers by September 1, 1998. The appraisal reports will be reviewed by staff and offers will be made in the amounts of the appraised market value. Acceptance of these offers by the owners will bind the City to making the payments.

 Conclusions:

 Authorizing the Commissioner of Corporate Services to make offers pursuant to Section 25 of the Expropriations Act is necessary in order to comply with the time frames prescribed in the Act and will ensure possession of the property interests in a timely manner.

 Contact Name:

 Mr. Robert K. Johnston, Project Manager (416) 392-8143 Fax No. (905) 501-0455 E-Mail Address: jdassoc@interlog.com (cs98129.wpd)

 Margaret Rodrigues

Commissioner of Corporate Services